Hospitality industry explained

The hospitality industry is a broad category of fields within the service industry that includes lodging, food and beverage services, event planning, theme parks, travel agency, tourism, hotels, restaurants, nightclubs, and bars.

Sectors

According to the Cambridge Business English Dictionary the "hospitality industry" consists of hotels and food service,[1] equivalent to NAICS code 72, "Accommodation and Food Service".

Definition in the United States

In 2020, the United States Department of Labor Standard Industrial Classification (SIC) defines the hospitality industry more broadly, including:[2]

In the United States, hotels are the most popular vacation accommodation. In 2022, the hotel and motel industry in the United States was a $224.9 billion market, measured by revenue.[4]

Definition in Dutch, Italian and French

Horeca (also HoReCa, HORECA) is the Dutch, German, Italian, Romanian and French languages term for the food service and hotel industries. The term is a syllabic abbreviation of the words Hotel/Restaurant/Café.[5] [6] The term is mostly used in the Benelux countries and Switzerland.

"Horeca" is often not a one-to-one equivalent to the term "hospitality industry" used in English, which is often used more broadly. According to the Cambridge Business English Dictionary the "hospitality industry" consists of hotels and food service,[7] equivalent to NAICS code 72, "Accommodation and Food Service". However, the United States Department of Labor Standard Industry Classification (SIC) defines the hospitality industry more broadly, as noted above.

The Dutch Uniforme Voorwaarden Horeca (UVH) is translated into English as Uniform Conditions for the Hotel and Catering Industry. This code covers hotels, bars, restaurants and related businesses in the Netherlands. Koninklijke Horeca Nederland is the Dutch trade association for the hotel and catering industry.[8]

This sector is one of the fastest growing in Europe. In 2004, more than 7.8 million people were employed[9] and the sector generated more than $338 billion in turnover.[10] Jobs tend to be temporary, with irregular hours, low pay, and few career prospects. There is a high proportion of young people working in the sector. Some distribution companies use this term to define the food & beverage service trade channel or the hospitality trade.

By country

United Kingdom

In 2015 the UK hospitality industry employed around 2.9m people – around 9% of the UK workforce.[11] By employment, it is the UK's fourth-largest industry. The most jobs in the industry are found in London (around 500,000) and South East England (around 400,000); 18% of workers in the UK industry are in London. There are around 1.5m restaurant workers, and around 0.5m work in hotels. The Food Safety Act 1990 introduced the training that staff have to follow. Around 25% of the hospitality workforce comes from the EU, making up around 25% of chefs and around 75% of waiting staff.[12] [13] In 2019, 1 in 50 applicants to Pret a Manger was British.

Vietnam

The hotel industry in Vietnam is an important economic sector, contributing significantly to the country's GDP.[14] [15] [16] According to statistics from the Vietnam National Administration of Tourism, in 2022, Vietnam had a total of 32,313 accommodation establishments[17] [18] with 611,352 rooms, including 1,576 hotels with three stars or higher with 334,487 rooms.[19] [20] [21] Despite this, the Vietnamese hotel industry is still considered to have great potential for development in the future.[22] [23] According to the forecast of the World Tourism Organization (UNWTO), Vietnam will be one of the top tourist destinations in the world in the coming years.[24] [25] [26] This will create opportunities for the development of the Vietnamese hotel industry.[27] [28] [29] According to statistics from the Vietnam National Administration of Tourism, the Vietnamese hotel industry has had an average growth rate of 15% per year in the period 2010-2022.[30] [31]

India

The hotel industry in India is poised for continued strong growth, with CareEdge Ratings forecasting a 9-11% year-over-year increase in revenue for hotels in FY25. This comes after an estimated 12-14% growth in RevPAR (revenue per available room) in FY24, driven by robust demand outpacing supply.[32] Average room rates across India are projected to rise from around ₹7,200-7,400 in FY24 to ₹7,700-7,900 in FY25, with RevPAR climbing to an average of ₹4,800-5,000 by end-FY24. The recovery is fueled by healthy domestic leisure and business travel demand, complemented by increasing foreign tourist arrivals. While new supply is expected at a 4-5% CAGR over 4-5 years adding over 50,000 branded rooms, this delayed catch-up will allow demand-supply dynamics to gradually align. The CareEdge report notes a better balance emerging across segments like upscale, upper midscale and midscale/economy, reducing the earlier concentration in luxury/upper upscale. With high occupancies of 68-70% forecast for FY25, the strong RevPAR growth should aid in improving the credit profile of industry players.

See also

Notes and References

  1. Web site: Hospitality industry . Cambridge Business English Dictionary . 19 March 2020.
  2. Web site: Global Hospitality Leadership: Industry & Company Information . Georgetown University Library . 19 March 2020.
  3. Book: Andrews . Introduction To Tourism And Hospitality Industry . 2007 . McGraw-Hill Education (India) . 9780070660212 . 19 March 2020.
  4. Web site: Hotels & Motels in the US - Market Size 2005–2029 . IBISWorld . 6 August 2023.
  5. Web site: Abbreviations and Acronyms. Eurostat. 28 February 2017.
  6. Web site: Wat valt onder horeca? ("What is included in 'horeca'?") . CBS (Central Bureau for Statistics of The Netherlands) . 19 March 2020 . nl.
  7. Web site: Hospitality industry . Cambridge Business English Dictionary . 19 March 2020.
  8. http://www.horeca.org/smartsite.dws?id=3247 Uniform Conditions for the Hotel and Catering Industry – Koninklijk Horeca Nederland
  9. [Eurostat]
  10. https://quantrinhahang.edu.vn/hoc-quan-ly-khach-san Hospitality industry course
  11. Web site: International Marketing Mix of ITC Hotels in UK PDF Economies Marketing . 2024-01-26 . Scribd . en.
  12. http://www.bha.org.uk/hospitality-tourism-industry-announces-first-post-brexit-sector-skills-strategy-2/ BHA report
  13. Web site: Employer Immigration Services Employ Overseas Workers . 2022-01-19 . www.wmimmigration.com . en-GB.
  14. Web site: dulich.vn . Ứng dụng công nghệ trong marketing truyền thông tích hợp cho các khách sạn ở VN . 2024-01-26 . Tạp chí Du lịch . vi.
  15. Web site: hanoimoi.vn . 2016-01-27 . Du lịch Việt Nam: Lớn mạnh nhờ thay đổi tư duy . 2024-01-26 . hanoimoi.vn . vi.
  16. Web site: 2016-01-27 . Du lịch đóng góp 6,6% GDP quốc gia . 2024-01-26 . Bộ Tài chính . vi.
  17. Web site: Cả nước có thêm 20 cơ sở lưu trú 4-5 sao với 7.275 buồng . 2024-01-26 . baodautu . vi.
  18. Web site: Việt/nhadautu.vn . Theo Đăng . 2022-09-08 . Ngành Du lịch tăng trưởng mạnh nhờ chuyển đổi số . 2024-01-26 . Tạp chí Tài chính . vi.
  19. Web site: Mai - . Ban . 2023-02-14 . Khách quốc tế sẽ làm “nóng” ngành khách sạn . 2024-01-26 . Nhịp sống kinh tế Việt Nam & Thế giới . vi.
  20. Web site: VTV . BAO DIEN TU . 2023-03-24 . Khách sạn vừa và nhỏ tại TP Hồ Chí Minh muốn được 'trỗi dậy' nhờ chuyển đổi số . 2024-01-26 . BAO DIEN TU VTV . vi.
  21. Web site: Mai - . Ban . 2023-08-15 . Khách sạn “trông chờ” nguồn khách nội địa . 2024-01-26 . Nhịp sống kinh tế Việt Nam & Thế giới . vi.
  22. Web site: Trải nghiệm xanh: Lộ trình đến tương lai của ngành khách sạn Việt Nam Du lịch . 2024-01-26 . diendandoanhnghiep.vn . vi.
  23. Web site: Bất động sản du lịch, nghỉ dưỡng có nhiều tiềm năng phát triển . 2024-01-26 . mof.gov.vn.
  24. Web site: Tổ chức Du lịch thế giới công bố những dấu ấn của du lịch toàn cầu . 2024-01-26 . vietnamtourism.gov.vn.
  25. Web site: Tổ chức Du lịch thế giới (UNWTO): Du lịch nội địa và gần nhà là xu hướng nổi bật trong năm 2021 . 2024-01-26 . vietnamtourism.gov.vn.
  26. Web site: baochinhphu.vn . 2023-03-03 . Việt Nam là điểm đến ưa thích của du khách quốc tế . 2024-01-26 . baochinhphu.vn . vi.
  27. Web site: 2023-12-15 . Triển vọng ngành du lịch - khách sạn sẽ khả quan hơn trong năm 2024 . 2024-01-26 . Báo Đấu thầu . vi.
  28. Web site: VnExpress . Best Hotel Group In Vietnam . 2024-01-26 . vnexpress.net . vi.
  29. Web site: Sơn - . Tuấn . 2023-10-05 . Định hình tương lai bền vững của ngành du lịch và khách sạn . 2024-01-26 . Nhịp sống kinh tế Việt Nam & Thế giới . vi.
  30. Web site: Việt Nam dẫn đầu châu Á về tăng trưởng khách sạn . 2024-01-26 . vietnamtourism.gov.vn.
  31. Web site: Việt Nam nằm trong tốp 10 quốc gia có tốc độ tăng trưởng du lịch nhanh nhất thế giới . 2024-01-26 . vietnamtourism.gov.vn.
  32. News: V . Manju . Hotels to see 9-11% Revenue Growth in FY25: CareEdge Ratings. . 17 June 2024 . The Times of India . 28 March 2024.

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia article "Hospitality industry".

Except where otherwise indicated, Everything.Explained.Today is © Copyright 2009-2024, A B Cryer, All Rights Reserved. Cookie policy.